self employed income - NJ

[Bethy]

If a person has been self-employed for 15 years, but didn't file Income tax on his business for the last 7, and records of work vs. materials are not available, what happens? Do they take previous years filings to get an estimate or do their employers get audited?

 

[LdiJ]

If a person has been self-employed for 15 years, but didn't file Income tax on his business for the last 7, and records of work vs. materials are not available, what happens? Do they take previous years filings to get an estimate or do their employers get audited?

Their customers would not be audited. However they might be asked to assist in small ways with any audit performed on the taxpayer.